8 GOOD REASONS FOR SELLING THROUGH REPS

Allison Reid • March 26, 2019

Roger McCollum, N.A. Williams Chairman and CEO: “While doing research for a talk I gave recently about the Rep business, I came across this terrific list in a book published nearly 20 years ago, Selling Through Independent Reps. This list is as relevant today as it was then, and I share it now with our manufacturer and supplier partners and friends as a reminder that selling through reps is just good business!”


1.You can’t afford enough direct people to give the intensive coverage you need.

If your sales volume is under $75 million, you probably don’t have the resources to support a sales force big enough to do the job. Your objective, remember, is a sales organization that develops closeness to customers. Because that means spending a lot of time with them, you need an adequate number of people.


2.Your profit centers or markets are diverse and require different sales skills.

Reps are, by their very nature, specialists in certain markets and with certain major customers. When you have a diverse market profile, you can develop a network of parallel reps geared to specific market needs. This approach can be powerfully effective. The right rep will have industry/market-dedicated sales people with the experience and knowledge to help you grow and find new opportunities.


3.Your product line is limited.

Sales representatives have scale with their customers by representing multiple and compatible product lines. Regardless if your product has large volume with each customer, the best reps will have a true partnership with the buyer and will provide focus on your products.


4.You have modest financial means.

In addition to variable expense and a more favorable cash flow, there is a third financial advantage to using reps. It is balance sheet management, a particularly important advantage for manufacturers who are in markets requiring local services, inventory and value-added support. Fixed investments by reps improve your balance sheet.


5.Your customers want local representation.

Customers frequently show a preference for local representatives. Unless you can afford the investment of direct sales people in every key trading area in the country, reps may be the way to go. Having a local agency rep that your client can meet with on a regular basis gives you a competitive advantage and your customer a trusted advisor.


6.Your direct team is struggling with a channel that’s not their primary focus.

Typically, corporate sales forces are shared by internal factory divisions, but they have a primary market thrust that almost totally consumes the time and effort of the sales personnel. If a certain division does not fit this primary thrust, that division faces a tremendous obstacle to growth. It would be much better off withdrawing from the corporate sales force and establishing its own sales channel with independent reps. Sales agencies often have channel teams with customer specific expertise that can provide deeper coverage.


7.You need fast entrée to a new market.

Many manufacturers stumble when trying to use their existing sales force to penetrate a new market. Not having contacts or familiarity with the market becomes a major roadblock and frequently sales people return to historical patterns as soon as corporate pressure to call on the new market abates. It is typically easier and more productive to recruit a parallel network of reps who are specialists in that market. A hybrid model of both direct and independent reps can help you enter new markets quickly, effectively, and without disruption to existing business.


8.You struggle to retain top performers.

If you’re typical among manufacturers, you’ll have a rather high turnover of sales personnel. This disruption of continuity minimizes your ability to maintain maximum penetration you’re your key customers. In contrast to the mindset of many in a direct organization, a reps whole professional life is focused on selling to a given set of customers or to a specific customer over the long haul. Independent reps are committed to selling as a career, rather than using their position as a stepping stone. And, they generally have higher compensation levels to incentivize them to stick around. All those things create tenure and trust with your customers, which translates into a competitive advantage for you.

By Danielle Sonnefeld April 1, 2022
N.A. Williams Announces Leadership Changes ATLANTA, Georgia – March 30, 2022 – The board of directors of N.A. Williams company has accepted the request of Roger McCollum to step down as chief executive officer and transition to the role of executive chairman as of June 1, 2022. At that time, Chris Williams will assume the role of president and CEO. Neal Williams Jr. will continue as executive vice president and vice chairman. Williams will be the fourth CEO in the 88-year history of N.A. Williams. He joined the company in 1993 and has held management positions of increasing responsibility throughout his 29-year career. He was promoted to executive vice president in 2007 and elected president in 2017. “Chris has demonstrated exceptional leadership throughout his career. He is respected throughout the industry, understands our business from the ground up, and is the right person to lead our company into its next period of growth,” said McCollum. “While I’m not retiring, the time has come for me to pass the torch to the next generation and support our team, manufacturers and customers as executive chairman. I intend to remain engaged with our business and the industry for many years to come.” McCollum joined N.A. Williams Company in 1984 and served as the company's president from 1997 to 2017. He was elected CEO in 2007 and chairman of the board in 2014, and currently serves in both positions. He has directed and integrated several mergers and acquisitions which have greatly expanded, diversified and strengthened the company's business. “It is an honor to take on this new role,” said Williams. “Our primary focus has always been the success of our team members, customers and manufacturers, and that will not change. We will continue to work in our stakeholders’ best interest and are grateful that Roger will continue on as executive chairman to help shape our strategy well into the future.”
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